Australian Pharmaceutical Industries Ltd. sold 137,264,592 shares of Sigma Healthcare Ltd. — its entire shareholding in the company.
The share sale follows a rejected takeover offer by API to acquire Rowville, Australia-based Sigma in March. The offer consisted of 0.31 of an API share and 23 Australian cents in cash per Sigma share.
Sigma, which is focused on wholesale and distribution of pharmaceutical products, previously said the offer was not in the best interests of its shareholders.
Regarding the decision to off-load its entire Sigma shareholding, API said its board decided that the strategic and commercial "fundamentals" that made the merger a compelling proposition have "significantly diminished."
Camberwell, Australia-based API engages in the wholesale distribution of pharmaceutical, medical, health, beauty and lifestyle products to pharmacies primarily in Australia.